Oil prices fall amid reports of little damage from Iran’s attack on Israel
15 April 2024 09:57
Oil prices fell during trading on Monday as market participants reduced risk premiums after Iran’s attack on Israel on Saturday evening, which the Israeli government said caused limited damage. This was reported by Komersant ukrainskyi 
with reference to Reuters.
Brent crude oil futures for June delivery fell 23 cents, or 0.2%, to $90.22 per barrel, while WTI futures for May delivery fell 29 cents, or 0.3%, to $85.37 per barrel.
Iran’s attack against Israel with more than 300 missiles and drones was the first attack on Israel from another country in more than thirty years, raising concerns about a broader regional conflict that would affect oil supplies through the Middle East.
The attack, which Iran called retaliation for an airstrike on its consulate in Damascus, caused little damage, with the rockets being shot down by Israel’s Iron Dome defence system and US air defences. Israel, which is at war with Iranian-backed Hamas militants in Gaza, has neither confirmed nor denied the attack on the consulate.
Oil indices rose on Friday in anticipation of an Iranian attack, reaching their highest level since October. Analysts were largely expecting at least a short-term price increase this morning, but more significant and long-term price effects from an escalation would require significant supply disruptions, such as restrictions on shipping in the Strait of Hormuz near Iran.
So far, the conflict between Israel and Hamas has not had a major impact on oil supplies.
“Israel’s response will determine whether the escalation stops or continues. The conflict may still be confined to Israel, Iran and its proxies, with possible US involvement. Only as a last resort do we see it having a real impact on oil markets,”
– said ANZ Research analysts.
